quiz 2 practice questions - ACCT 351. Guide for Quiz 2,...

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ACCT 351. Guide for Quiz 2, spring 2017Sample Questions: Following is a sample of questions for chapters 9 and 10. These are not indicative of quizquestions but can help you prepare for it.Use the following information to answer questions 1 and 2:DLW Corporation acquired and placed in service the following assets during the year:AssetDate AcquiredCost BasisComputer equipment2/17$10,000Furniture5/12$17,000Commercial building11/1$270,0001. Assuming DLW does not elect §179 expensing or bonus depreciation, what is DLW’s year 1 cost recovery for thethree assets in total?A.$5,296B.$6,296C.$11,352D.None of the above.
2. What is DLW’s year 3 cost recovery for each asset if DLW sells all of these assets on 1/23 of year 3?
3.On March 15,2013Mike placed a light truckin service in his business. The truck is used only for businesspurposes. He purchased the truck for $30,000. The truck has a useful life of 8 years and its salvage value isestimated to be 10% of its cost. What is the MACRS depreciation for 2013?

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Chapter 8 / Exercise 2
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Term
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Depreciation, Generally Accepted Accounting Principles, DLW
We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Income Tax Fundamentals 2019
The document you are viewing contains questions related to this textbook.
Chapter 8 / Exercise 2
Income Tax Fundamentals 2019
Whittenburg/Gill
Expert Verified

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